In a move that’s making waves across the crypto industry, the U.S. Securities and Exchange Commission (SEC) has officially dismissed its long-standing lawsuit against Binance, Binance.US, and founder Changpeng Zhao (CZ). This decision, filed jointly by both parties, brings an end to a legal battle that began in June 2023 and signals a notable shift in the U.S. regulatory approach to digital assets .
Background: The Lawsuit and Its Pause
The SEC originally sued Binance, alleging violations of U.S. securities laws, including operating as an unregistered exchange and broker, and facilitating the trading of tokens the agency considered unregistered securities. The case was paused earlier this year as the SEC’s new crypto task force began working on a comprehensive regulatory framework for digital assets, coinciding with Donald Trump’s return to the presidency .
Why the Case Was Dismissed
On May 29, 2025, the SEC and Binance filed a joint motion to dismiss the lawsuit “with prejudice,” meaning the SEC cannot bring the same charges against Binance in the future. The SEC stated that the dismissal was “appropriate in the exercise of its discretion and as a policy matter,” but clarified that this move does not set a precedent for other ongoing or future crypto-related cases .
Industry Reaction and What’s Next
Binance and Binance.US welcomed the decision, calling it a “landmark moment” and a validation of their stance that they did not violate U.S. securities laws. The companies credited the new SEC leadership and the Trump administration for fostering a more innovation-friendly regulatory environment .
This dismissal is part of a broader trend: since early 2025, the SEC has dropped more than a dozen other crypto-related investigations and lawsuits, reflecting a shift away from “regulation by enforcement” toward developing clearer rules for the industry .
Meanwhile, lawmakers in the U.S. House of Representatives have introduced a bill to clarify how the SEC and the Commodity Futures Trading Commission (CFTC) will oversee digital assets, but a formal regulatory framework has yet to be published .
Key Takeaways for Crypto Users
• The SEC’s lawsuit against Binance is officially over and cannot be refiled.
• The dismissal does not affect other ongoing SEC cases against crypto companies.
• The regulatory landscape for crypto in the U.S. is evolving, with new leadership and potential legislation on the horizon.
• Binance.US says it will now focus on growing its business and restoring relationships impacted by the lawsuit
